SoftBank is determined to prioritise investments in artificial intelligence and has no plans for an immediate share buyback, despite pressure for a $15bn capital return programme from activist investor Elliott. In an interview with the Financial Times, SoftBank’s chief financial officer Yoshimitsu Goto said that the best use of the company’s strengthened balance sheet was in the hunt for AI deals.
“We don’t need to be this safe and we need to take on more challenges,” said Goto. “This is why Masa is saying that now is the time to invest.” Elliott’s buyback push echoes its approach in early 2020 when it built up a stake of about $2.5bn in SoftBank. SoftBank did eventually launch a buyback programme in the same year that it turned “defensive” and sold assets to reassure shareholders in the face of the Covid-19 pandemic.